Adams took over as caretaker manager in April following the departure of Chris Hughton but could not prevent Norwich from succumbing to relegation from the Premier League.
Despite that disappointment, former Norwich player Adams was confirmed as the club's permanent boss a month later, tasked with the challenge of ensuring an immediate return to the English top flight.
Norwich are in a decent position to try to achieve that aim, sitting seventh in the league, three points adrift of a play-off spot.
But, following Saturday's 2-0 FA Cup third round defeat to Preston North End, the 49-year-old has stepped down, with Mike Phelan to take the reins for the time being.
Adams will take a break from football before returning to Norwich in July in a capacity that has yet to be determined.
In a statement on Norwich's official website, Adams said: "I firmly believe that we are still on course for a crack at promotion back to the Premier League. That is where this club belongs.
"However, I feel it is in the best interests of the team that an immediate change is made in order to ensure a positive impact on results.
"It goes without saying that I sincerely hope the team achieves success this season and I would like to say a huge thank you to the supporters who have backed me during my tenure as manager."
First-team coach Phelan is rumoured to be the man set to replace Adams long-term and will take charge of the team for Saturday's trip to league leaders Bournemouth
